Holiday pay? What is this 12.07% holiday pay? Do I pay extra for that?
Firstly, no need to worry. The cost of any holiday pay is already taken into account in the £13 per hour overall cost. So you don't need to pay anything extra!
The way it works is as follows:
By law, as the nanny’s employer, you need to provide paid annual leave. A full-time nanny would receive statutory 28 days (5.6 weeks) of paid leave (inclusive of bank holidays). Since your nanny will be working a few hours each day, it's easiest to calculate holiday pay by the hour.
A simple way to think about this is that your nanny will earn 12.07% of paid leave for every hour worked (i.e. if a nanny works 10 hours, then they have also earned 1.207 hours of paid leave). This 12.07% is equivalent to 28 days of paid leave for a full-time nanny.
To make it even more simple, we typically pay out any earned paid leave at the end of each month. This means that you won't need to keep track of how many hours of holiday pay has been earned. It also means that if the nanny takes a holiday, then it will be considered an unpaid holiday.
How much does it cost overall?
Our price structure is super simple: the service costs £13 per hour per family.
This rate applies assuming you can offer 9 hours of work per week (or 39 hours per month). If you need fewer hours, a slightly higher rate will apply – drop us a line to find out more.
The hourly rate covers:
- The upfront recruitment, vetting and training of your nanny
- Your nanny’s wages
- The enhanced DBS check
- Contract preparation
- Holiday pay
- Any required pension set-up, administration and contributions
- Any employer and employee national insurance contributions
- Managing and running monthly payroll
- Advanced cover against sick/maternity pay (meaning you won’t be charged in the unlikely event your nanny needs to claims those)
- Ongoing support to the nannies and to you via our online community and our team of ex-teachers
Unfortunately, neither tax-free childcare nor childcare vouchers can be used with this service as our nannies are not Ofsted registered. Usually the cost to prepare and register them with Ofsted outweighs any savings through vouchers.
We also offer a nanny share service which is even cheaper. You might already know a family that you’d like to share a nanny with, so that one of our nannies can take care of the children from both families’ at the same time.
If the children get on with each other and go to the same school, these ‘after school nanny shares’ work brilliantly.
Shares cost each family £9 per hour, and the after school nanny is paid more to reflect the additional work of having more bosses. If you’d be open to a nanny share, let us know and we’ll see if we can find a nanny and family who fit your requirements.
Are the students available in the holidays, in the mornings, or for babysitting?
Yes, many of them are available for extra work and love doing extra hours where they can. However, during screening we ask nannies to commit to term-time hours so the ability to do extra hours depends on the individual nanny’s availability.
If your usual Koru Kids nanny can't cover all the hours you need, we can introduce you to another student who can help. We’re constantly building a growing community of nannies who can help and support each other, including by covering extra hours.
Do I have to pay the nanny all year around?
No, you can just employ the nanny during term-time for the hours that you’ve contracted them for.
And do I have to pay them for days off on holiday?
No you don't. The cost of holiday pay is already taken into account in the £13 per hour overall cost.
What is the notice period?
Our standard nanny contract has a notice period of 2 weeks for the first 3 months, and then 4 weeks from then on. As you're the legal employer of the student, you're free to negotiate different terms if you wish, and we can change the contract accordingly.
It’s important to note that UK employment law around notice periods is weighted in favour of the employee (in this case, the nanny). It’s highly unlikely, but if they quit without working their notice period, you cannot withhold pay for other hours they’ve worked.
Do I get a trial period with the nanny?
Yes, you can definitely have a trial. Some families like to follow up their first meeting or interview with a ‘play date’ where the nanny spends time with the children for an hour or so, to see how they all get on before deciding whether to proceed. This is totally fine.
One important note: It’s expected that trial periods will be paid for.
How does payment work?
Each month, we’ll contact your nanny and ask them to report their hours and any expenses. This is usually done on the 25th of each month.
We then run those hours past you for confirmation. You'll then receive an invoice from us.
You are direct debited (by us) between 7th-10th of the following month, when the nanny gets paid.
Your payment is made monthly to Koru Kids using our secure direct debit payment service GoCardless.
(e.g. for the hours worked in September, you will receive an invoice in the first week of October, and your account will be direct debited in the second week of October)
In some instances, where the nanny’s start date is more than two weeks in advance we may ask for a deposit to secure the nanny. Find out more about deposits here.
Is my nanny entitled to sick pay?
Sick pay can be really complicated to calculate but don’t worry – we take care of it for you. In fact, we actually pay for it. In the unlikely event that your Koru Kids nanny falls sick, we’ll cover the cost of any sick pay you would owe them. It’s part of our commitment to keep your life as stress-free as possible.
Why is sick pay important? If your nanny earns more than £116 per week, they’re legally entitled to Statutory Sick Pay from you.* This entitlement kicks in from day one. It could exceed £2,500 a year, and can no longer be reclaimed from the government. But we’re here to take that stress away – Koru Kids will absorb the risk. If your nanny falls sick we will calculate and pay any Statutory Sick Pay on your behalf.
You can find out more about Statutory Sick Pay here: https://www.gov.uk/statutory-sick-pay
*figures accurate for 2018/19 tax year. Weekly earnings average is typically calculated on the previous 8 weeks of employment.
Is my nanny entitled to maternity pay?
In the unlikely event that you need to pay maternity pay, we’ll cover this for you. Just like sick pay, maternity pay can be really tricky to calculate, with qualifying criteria and varying pay rates to negotiate. As the nanny’s employer, you’re legally liable for Statutory Maternity Pay (which can exceed £5,000 a year) – but don’t worry, Koru Kids will handle and pay this for you.
You can find out more about Statutory Maternity Pay here: https://www.gov.uk/maternity-pay-leave/pay
Does Koru Kids have Grievance, Disciplinary, and Dismissal Procedures?
As the employer, parents have a duty to handle grievances, disciplinary, and dismissal proceedings with their nanny professionally. Most grievances can be resolved informally, with fairness in mind. Koru Kids can be on hand to help advise you, should you have questions, but most situations are best resolved between the family and nanny directly. We advise parents to follow the principles of the ACAS Code of Practice guidelines http://www.acas.org.uk/index.aspx?articleid=2174